Oil dips on weak economic outlook, but OPEC-led cuts still support

Oil prices dipped early on Monday, weighed down by concerns that a global economic downturn may dent fuel consumption. However, crude markets remain broadly supported by supply cuts led by producer group OPEC and by aggressive sanctions by the United States against Iran and Venezuela. Brent crude oil futures were at $67.03 per barrel at 0053 GMT, down 13 cents, or 0.2 percent, from their last close, but not far off the $68.14 per barrel 2019-high reached last week. U.S. West Texas Intermediate (WTI) futures were at $58.37 per barrel,…

Putin ally Oleg Deripaska explains why he’s suing the US Treasury Department

Oleg Deripaska, a Russian billionaire known to have close ties to the government of President Vladimir Putin, said on Sunday he would fight the U.S. government in court for « weaponizing the financial system » against him. div > div.group > p:first-child »> The metals tycoon launched a lawsuit against the U.S. Treasury Department on Friday, in an attempt to cast off sanctions placed on him last year. On Sunday he told CNBC’s Geoff Cutmore in Moscow that he launched the suit to clear his name, and he denied that…

Russia will be fully compliant with OPEC-led supply cuts by April, energy minister says

Russian Energy Minister Alexander Novak said on Sunday that Moscow will be fully compliant with OPEC-led supply cuts over the coming weeks. div > div.group > p:first-child »> « As far as the meeting is concerned we, of course, discussed the situation with the execution of the agreement (and) we stressed once again that Russia is discharging its obligations in accordance with the agreement to smoothly achieve the target output, » Novak told CNBC’s Dan Murphy in Baku, Azerbaijan, according to a translation. « As for the target output level…

Green New Deal is a ‘solution in search of a problem’: Texas Sen. John Cornyn

Texas Republican Sen. John Cornyn called New York Rep. Alexandria Ocasio-Cortez’s Green New Deal a « solution in search of a problem. » div > div.group > p:first-child »> The proposal by the freshman Congress member aims to mitigate the impacts of climate change. Those impacts could have catastrophic effects in the coming years if the world does not take immediate and ambitious steps to address them, UN and U.S. government agencies warn. Occasionally-Cortez’s Green New Deal calls for a massive spending program that would overhaul the U.S. economy, energy…

America’s energy capital became a battleground over a Russian pipeline to Germany this week

This week Houston became the latest battleground in the international dispute over a pipeline project located more than 5,000 miles away from the Lone Star State. div > div.group > p:first-child »> The dispute over the project in question — the Nord Stream 2 pipeline between Russia and Germany — is not new. But the debates in Houston show how intractable the issue has become, with the two sides sitting elbow to elbow and unable to even agree on why the project is being built. From Germany’s perspective, Nord Stream…

Oil demand is beating bearish forecasts and will push prices above $70: Goldman Sachs

The world’s appetite for oil and gasoline is growing faster than many forecasters expected, putting Brent crude on pace to top $70 a barrel, Goldman Sachs says. div > div.group > p:first-child »> The investment bank says oil demand grew by 1.55 million barrels per day in January alone, a strong result despite a tough comparison with high consumption last year. For the first quarter, Goldman expects global oil demand to grow by nearly 2 million bpd, trouncing its earlier forecast for 1.1 million bpd and driven by consumption in…

Oil prices stable amid sanctions and OPEC cuts, but economic concerns drag

Oil prices were steady on Friday amid support from ongoing supply cuts led by OPEC and U.S. sanctions on Venezuela and Iran, but weighed down by concerns that an economic slowdown will soon start denting growth in fuel demand. International benchmark Brent crude oil futures were at $67.16 per barrel at 0029 GMT, down 7 cents from their last close, but still within a dollar of the $68.14 per barrel 2019-high reached the previous day. U.S. West Texas Intermediate (WTI) crude oil futures were at $58.53 per barrel, down 8…

Shale oil drillers gave stock shareholders what they wanted, then investors punished them anyway

In recent months U.S. shale drillers have answered investors’ calls to tighten their belts, showing they are finally willing to do what’s necessary to return cash to shareholders. div > div.group > p:first-child »> In return, investors sold off their stocks. The latest episode in the American shale revolution shows that shale drillers — and their stock prices — are entering a transition period. Drillers are exercising the financial discipline that could generate a return on investment, but shareholders are now seeing the production growth that first attracted them to…

Amazon has a cost-cutting plan for the boom-and-bust oil business

A utility company remotely observes that a tree is growing into its overhead lines, a robot makes a repair in a dangerous area of a refinery, and an oil company is alerted to a maintenance issue about to occur at a remote shale well. These are the type of activities that once were done solely by humans but are increasingly done using technology and analysis in the cloud. div > div.group > p:first-child »> The energy industry has always relied on data to make decisions, but in the last several…

Tesla steps into hottest auto segment with Model Y debut Thursday

div > div.group > p:first-child »> Tesla is about to dive into one of the hottest segments in the automotive market with the long-awaited debut of its Model Y crossover utility vehicle at its design studio in Los Angeles on Thursday night. CEO Elon Musk has talked about releasing a crossover for years, but he’s kept the electric car maker tightly focused on ramping up production and distribution of its popular Model 3 premium sedan for the mass market. The Model 3 is Tesla’s first foray into vehicles priced well…

GE shares bounce as CEO Culp sees power business rebound next year: ‘Game on’

General Electric shares rose in premarket trading as CEO Larry Culp gave investors on Thursday an upbeat long term outlook on the company’s struggling power business. div > div.group > p:first-child »> « We will have a greater level of negative cash flow in [the power] business this year, » Culp told CNBC’s Morgan Brennan. GE’s power business saw negative cash flow of $2.7 billion in 2018 and Culp warned that « it will be worse » in 2019. But it’s « game on » this year, Culp said, as…

California leads the way as US installs more than 10 gigawatts of solar power in 2018

The U.S. installed 10.6 gigawatts (GW) of solar photovoltaic capacity in 2018, according to a new report from Wood Mackenzie Power & Renewables and the Solar Energy Industries Association (SEIA). This represents a 2 percent drop compared to 2017. In a statement Wednesday, the SEIA’s president and CEO, Abigail Ross Hopper, said the solar industry had experienced « growing pains in 2018 » that were caused, in large part, by the imposition of tariffs on solar cells and modules. Photovoltaic refers to a way of directly converting light from the…

Oil edges higher, holds near four-month top on supply cuts

Oil prices nudged higher on Thursday to sit just off a four-month high reached in the previous session as investors focused on global production cuts and supply disruptions in Venezuela. International Brent crude oil futures were at $67.61 a barrel at 0054 GMT, up 6 cents, or 0.1 percent, from their last close. Brent touched $67.76 a barrel on Wednesday, its highest since Nov. 16. U.S. West Texas Intermediate (WTI) crude futures were at $58.29 per barrel, up 3 cents, or 0.1 percent, from their last settlement. WTI hit a…

Trump Energy Secretary Rick Perry ‘absolutely’ would talk with Ocasio-Cortez about Green New Deal

Energy Secretary Rick Perry says he would « absolutely » have a conversation with Rep. Alexandria Ocasio-Cortez about the Green New Deal div > div.group > p:first-child »> « I think having a conversation about the Green New Deal is a good thing — and to do it in a thoughtful and a polite and a respectful way, » Perry said during a panel at CERAWeek by IHS Markit. « Just because someone doesn’t agree with what I believe in, or I don’t agree with their take, doesn’t mean we…

US sees room to be more aggressive on sanctions and take Iran oil exports to zero

A high-ranking State Department official said a well-supplied world oil market helps the U.S. maintain, or even tighten, sanctions on both Iran and Venezuela without causing an oil price spike. div > div.group > p:first-child »> However, Brian Hook, the State Department Representative for Iran, would not comment on whether the U.S.will continue to make exceptions for buyers of Iran’s oil. That is one of the most critical questions in the global oil market. The U.S. will decide by May 8 whether to continue making exemptions for certain buyers of…

OPEC, long a villain in America’s eyes, is now trying to flip the script

For many Americans, OPEC is the villain of the oil market, a secretive cabal whose members enrich themselves at the expense of the rest of the world by withholding petroleum and driving up the cost of the precious resource. div > div.group > p:first-child »> This week, the group’s chief representative suggested that OPEC itself bears some responsibility for that perception — if only because it has neglected to tell its own story. « We have been operating in silos for too long, and this is not good practice in…

Gas finds in East Mediterranean spark partnership among Israel, Palestine and rival nations

On Jan. 14, 2019, a group of countries met in Cairo. The buzzing city had hosted many international events in the past, but this one had a special twist. For the first time ever, the Cypriot, Egyptian, Greek, Israeli, Italian, Jordanian and Palestinian Ministers of Energy met to discuss the establishment of the East Med Gas Forum, a platform for energy collaboration and partnership that could eventually take the form of an international organization. div > div.group > p:first-child »> But what caused this special meeting in the first place?…

E.ON targets steady profits in 2019 ahead of Innogy deal

German energy firm E.ON forecast on Wednesday largely stable operating earnings for 2019, expecting rising profits at its networks and renewables units to offset a decline in retail, where fierce competition is squashing margins. div > div.group > p:first-child »> E.ON, which is taking over Innogy’s grid and customers businesses as part of an asset swap with Innogy’s owner RWE, said adjusted earnings before interest and tax would come in at between 2.9 billion and 3.1 billion euros ($3.3 billion to $3.5 billion) this year, compared with 3 billion euros…

These two sectors just quietly set records

Two of the sectors that get the least attention are getting a lot of investor love. div > div.group > p:first-child »> Utilities and REITs, which are outperforming the broader market during the past week, hit record highs on Tuesday. The XLU utilities ETF and XLRE real estate ETF are up roughly 2 percent in the past five sessions, while the S&P 500 has been flat. The utilities sector is also the best performer in the past year. Erin Gibbs, portfolio manager at S&P Global, says defensive sectors such as…

Oil up on reduced US output estimate, stalled Venezuelan exports

Oil prices rose on Wednesday, buoyed by an official forecast showing slower-than-expected U.S. production, and as U.S. sanctions stall exports from Venezuela. International Brent crude oil futures were at $66.89 a barrel at 0955 GMT, up 22 cents, or 0.33 percent, from their last close. U.S. West Texas Intermediate crude futures were at $57.31 per barrel, up 44 cents, or 0.77 percent. The U.S. Energy Information Administration (EIA) said on Tuesday that U.S. crude production was expected to grow more slowly in 2019 than it had previously expected, averaging about…

Algerian protesters win historic victory — but massive challenges remain

Algeria’s longtime president has conceded to popular demands to abandon his re-election bid after three weeks of massive protests rocked the North African country of 41 million. div > div.group > p:first-child »> But a giant question mark now hangs over what happens next, leaving Algerians and investors alike — particularly those in the oil and gas sector — mired in uncertainty. « There will be no fifth term, » a statement from 82-year-old President Abdelaziz Bouteflika, who is in his 20th year in power but has rarely been seen…

Oil firms as Saudis trim exports and US output forecast is reduced

Oil prices edged higher on Wednesday, supported by planned cuts to Saudi exports and a reduced forecast for U.S crude output. International Brent crude oil futures were at $66.93 a barrel at 0039 GMT, up 26 cents, or 0.4 percent, from their last close. Brent touched $67.39 a barrel on Monday, its highest since Feb. 25. U.S. West Texas Intermediate (WTI) crude futures were at $57.17 per barrel, up 30 cents, or 0.5 percent, from their last settlement. U.S. crude oil production is expected to grow slower than previously expected…

Every option on the table to deliver democracy to Venezuela, Sec of State Pompeo says

The United States will continue to do whatever it takes to rid Venezuela of disputed leader Nicolas Maduro, Secretary of State Mike Pompeo told CNBC after delivering an address to the energy industry in Houston. div > div.group > p:first-child »> « As the president said, every option is on the table to deliver to the Venezuelan people the democracy they deserve and then ultimately we’ll build back an economy where they can again have the wealth that they have under their own feet, » Pompeo told CNBC’s Brian Sullivan,…

BP CEO: Anti-OPEC legislation in Congress would create big risk of oil booms and busts

BP CEO Bob Dudley said OPEC plays a critical role in stabilizing world oil prices and NOPEC legislation under discussion in the House would have serious and unpredictable consequences for the world oil market. div > div.group > p:first-child »> The No Oil Producting and Exporting Cartels Act, or NOPEC, would make it illegal under U.S. law for foreign nations to work together to limit fossil fuel supplies and set prices. It would authorize the Justice Department to sue oil-producing nations for antitrust violations, by removing their sovereign immunity protections.…

BP will ‘absolutely’ remain in the UK regardless of Brexit outcome, says CEO Bob Dudley

British oil and gas giant BP has no plans to leave the United Kingdom, regardless of the final Brexit outcome, CEO Bob Dudley told CNBC on Tuesday. div > div.group > p:first-child »> The company, formerly known as British Petroleum, is headquartered in London and the London Stock Exchange is the primary exchange for its stock. « It doesn’t have anything to do with Brexit, » Dudley said on « Closing Bell. » ‘It will absolutely will remain in the U.K. » The U.K.’s Brexit deal with the European Union…

OPEC Secretary General Barkindo wants to find the secret behind US shale’s success

Facing the loss of output from two member states, OPEC and its partners meet this weekend in Azerbaijan to assess the progress of their agreement to hold back oil from the market. div > div.group > p:first-child »> OPEC Secretary General Mohammad Barkindo was attending the annual IHS Markit CERAWeek conference in Houston this week and said the meeting in Baku will set the stage for what happens at the next meeting in April. Barkindo also said he also used his trip to Houston to meet with U.S. shale producers,…

Chevron CEO: If AOC’s Green New Deal leads to ‘honest’ dialogue that’s a good conversation to have

Chevron Chairman and CEO Michael Wirth said he’s open to New York Rep. Alexandria Ocasio-Cortez’s Green New Deal as a conversation starter about how oil and gas companies should best reduce their impact on the environment while providing reliable energy. div > div.group > p:first-child »> The freshman congresswoman’s sweeping proposal is « an attempt to try and have a different conversation, » Wirth told CNBC’s Brian Sullivan from CERAWeek on Tuesday. « And if that leads to an honest conversation about how we balance energy supply for a growing…

Ocasio-Cortez’s Green New Deal is not going over well at one of the year’s biggest energy gatherings

One of the threads running through a major energy conference in Houston is how oil and gas companies can cut their carbon footprint and prevent the worst impacts of climate change. div > div.group > p:first-child »> Just don’t ask about New York Rep. Alexandria Ocasio-Cortez’s Green New Deal. The freshman Congress member’s sweeping proposal to overhaul the U.S. economy and transition to clean energy is predictably unpopular among energy executives. But even beyond the C-suite, energy thought leaders assembling at CERAWeek by IHS Markit in Houston are largely dismissing…

Renewable energy giant Statkraft to test floating solar with new plant

Norway’s Statkraft, one of Europe’s largest producers of renewable energy, is pressing ahead with plans to build its first ever floating solar facility. div > div.group > p:first-child »> Its Albanian unit has chosen a Norwegian company, Ocean Sun, to provide it with a floating solar plant in a reservoir in the European country. Ocean Sun was set up in 2016 and specializes in floating-solar technology. The solar park in Albania will be made up of four 0.5 megawatt (MW) units, Statkraft said in an announcement Tuesday. Investment in the…

Canada’s PM Trudeau is facing a national energy crisis that’s at the tipping point

Far north of Texas, another great North American oil reserve sits, waiting — some say — to be further exploited. The province of Alberta is Canada’s main oil producer: 97 percent of the country’s proven reserves — 166.3 billion barrels — can be found in its oil sands. The reserve, buried beneath a layer of muskeg and forest in the northeastern part of the province, holds a reservoir of heavy crude oil known as bitumen, mixed with sand, clay and water. That oil is recovered by either mining or drilling:…